Non-Service-Connected Pension
Benefits
Presented by
November 19, 2013
Presenter
Christine Golden
National Service Director
VetsFirst, a program of United Spinal Association
Email: cgolden@vetsfirst.org
Questions
To ask a question, or make a comment,
please type it in the “Questions” box.
VetsFirst’s History
• Represents over 65 years of service to veterans
and their families.
• Provides representation for veterans, their
dependents and survivors in their pursuit of VA
benefits and health care.
• Fights to ensure all veterans with disabilities have
the ability to live and work in their communities
and achieve greater independence.
Our Mission as a VA recognized
Veterans Service Organization
• Inform and educate individuals concerning the rights and benefits due
veterans and dependents
• Advise claimants of their rights to appeal any adverse VA decisions and
assist in the development of such appeals
• Provide professional and clear explanations of the laws and regulations
governing veterans benefits
•Provide helpful links for answers to benefits questions at VetsFirst website:
www.vetsfirst.org
• Offer free, up-to-date and extensive VetsFirst Knowledge Books for answers
to VA benefits questions concerning compensation and pension, educational
and healthcare, VA life insurance, burial and survivors benefits, and more
•Provide free assistance, resources, and VA claims representation
Non- Service Connected Pension
What is VA Pension?
VA pension was established to help disabled veterans,
who need financial assistance to supplement their
income. These individuals served in the military during
a time of war.
Overview of Non-Service-Connected
Disability Pension Benefits
• Three different VA Pension Programs
• Protected Pension Programs
• Improved Pension Program
- Basis eligibility criteria
- Aid and Attendance
- Housebound
- Income/Net Worth
• VA Pension Management Centers (PMC)
VA Pension Programs
• Section 306 Pension
• Old-law Pension
•Improved Pension
Protected Pension
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•
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Old-law/Section 306
Can switch to improved pension anytime
Benefits rates protected, never increase
Improved pension pays higher monthly
benefit
No additional benefits if eligible for
A&A/Housebound
Improved Pension
• Provides financial benefits to eligible veterans with
non-service connected disabilities, or to veterans age
65 or older
• Considers all of the income of the veteran and his or
her dependents
• Five basis criteria for eligibility must be satisfied
• Claimant’s must provide VA with their SS numbers
when applying for pension
Basic Eligibility Criteria for Improved Pension
• Must have served during a wartime that resulted in a discharge
under other than dishonorable conditions;
• Must have served at least 90 days of active duty and at least one (1)
day of service must have been during a period of war;
• Be permanently and totally disabled at time of application;
• Permanent and total disability must not be due to willful
misconduct of the veteran;
• Must demonstrate a financial need (limited income/net worth)
Note: VA determines need by calculating the income and net worth
Aid and Attendance
• Amount paid in addition to monthly pension
• Must meet one of these criteria to qualify:
– Require the aid of another person to perform daily activities of living
– Be blind or so nearly blind as to have corrected visual acuity of 5/200
or less in both eyes
– Be a patient in a nursing home due to mental/physical incapacity
– Be bedridden—meaning condition requires veteran to remain in bed
• The need for aid and attendance must be based on actual
requirement of personal assistance from others
Housebound
• Benefit paid in addition to monthly pension
• Must have a single permanent disability evaluated as
100% disabling, and confined to immediate
premises, or; have a single permanent disability
evaluated as 100% disabling, and another disability,
or disabilities, evaluated as 60% or more disabling
Income/Net Worth
• Veteran’s annual “Income for VA purposes” (IVAP) must
be below the improved pension income limits or the
maximum annual pension rate (MAPR) set by Congress
• All sources of household income (spouses included)
counted minus deductions, such as unreimbursed
medical expenses, SSI, certain educational expenses
• If countable annual income is less than MAPR, veteran
meets income criteria
Net Worth cont’d
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•
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Veteran’s resources must be determined
insufficient to meet their needs without VA
support
Net worth is calculated by totaling the market
value of all real and personal property owned
by the veteran, minus any outstanding
mortgages
Net worth consists of stocks, bonds,
investments, any property other than the
veteran’s personal residence and a reasonable
lot size/personal effects
What is Countable Income
• Income received by the veteran and dependents
from sources such as earnings, disability payments,
retirement payments, interests and dividends,
farming, business enterprises;
• Proceeds of life insurance policies;
• Inherited shares of marketable stocks
Excluded Income
•
•
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Welfare
Fire insurance proceeds
Profit from sale of property (real or personal)
Unreimbursed medical expenses
Benefit Amount
• Monthly benefit amounts are determined based
upon the veteran’s IVAP and MAPR set by Congress
• Veteran’s IVAP calculated by totaling all annual
household income minus deductions
• IVAP is subtracted from MAPR and difference is the
total annual pension amount paid to the veteran
• Total pension amount is divided by 12 to calculate
veteran’s monthly benefit payment
Scenario
• Mary, a single Vietnam Era veteran without
dependents has an IVAP equal to $10,000, so her
2013 MAPR would be $12,465 (amount set by
Congress). Mary’s monthly pension benefit
would be calculated as follows:
• $12,465 - $10,000 = $2,465 ÷ 12 = $205
• 2013 MAPR w/o dependents – Annual IVAP= 2013 annual pension
amount ÷ 12 = 2013 monthly pension payment
Veteran Pension Rate Table- effective 12/1/12
Standard Medicare Deduction: $104.90
________________________________________
Maximum Annual Pension Rate (MAPR) Amount
If you are a veteran without Spouse or Child: Your yearly income must be less than $12,465
To be deducted, medical expenses must exceed 5% of MAPR, or, $ 623
Veteran w/One Dependent: yearly income less than $16,324
To be deducted, medical expenses must exceed 5% of MAPR, or, $ 816
Housebound Without Dependents
Housebound With One Dependent
A&A Without Dependents
A&A With One Dependent
Two Vets Married to Each Other
$15,233
$19,093
$20,795
$24,652
$16,324
Pension Management Centers (PMCs)
• Three PMCs
– Philadelphia, PA
– Milwaukee, WI
– St. Paul, MN
• Each PMC receives claims from offices within its
jurisdiction
Service Areas
Report Changes
Must notify VA
immediately of marital
status, dependent, and
income changes
Summary
• Social Security Disability (SSDI) payments are considered
income and will likely be offset $ for $ between SSDI and VA
pension
• VA pension does not provide a great deal of income, but it
helps
• Veterans eligible for a VA pension should check to see if they
qualify for other federal or state benefits, such as those
available from Social Security
• Feel free to contact VetsFirst at 1 800 404 2898 with any
questions about applying for a non-service connected VA
pension or visit your local VA Regional Office for assistance
Medal of Honor Pension
• VA administers a pension benefit to recipients of the
Medal of Honor
• Entitlement is not based on income or level of need
• Congress set the monthly pension at $1,259 for 2013
Presentation Resources
• VetsFirst
- http://helpdesk.vetsfirst.org/index
• Veterans Affairs
- www.benefits.va.gov/pension/
VetsFirst thank you for your Service
Questions
To ask a question, or make a comment,
please type it in the “Questions” box.